SK Hynix Gives Update To Investors On Proposed US Listing: “Tremendously Positive” Feedback

South Korean memory-chipmaker SK Hynix has told investors that it had received "tremendously positive" feedback on its proposed US listing, sources revealed to Reuters.

The chipmaker, which recently hit the $1 trillion market cap, made a confidential filing to list its shares in the US this year.

A source told Reuters in March that SK Hynix could raise as much as $14 billion.  

In recent months, the chipmaker has benefited from strong demand for advanced memory semiconductors to run AI data centres. SK Hynix expects a US listing to broaden its investor base, as some institutional investors in the country put money in US-listed stocks only because of internal mandates, a source told Reuters.

However, the chipmaker revealed to investors that it could not give specific updates on the listing process as a review by the US Securities and Exchange Commission is underway.

"SK Hynix plans to issue ADRs within 2026, but the details, including the size and ‌timing, have ⁠not yet been decided," the company told Reuters.

The surge in need for memory chips to power AI data centres has led to a severe supply shortage. On the other hand, top memory chip producers such as Samsung and SK Hynix have benefited from surging prices.

The South Korean chipmaker told investors that it expects a favourable pricing environment for its high-bandwidth memory (HBM) chips to remain well into next year.

Discussions with customers are underway on future prices of the chips used in AI sets.

SK Hynix is a major supplier to Nvidia. It also stated that there is strong demand from Nvidia for LPDDR memory, a type of low-power chip often ⁠found in tablets and phones. The chips are crucial for Nvidia's next-generation Vera Rubin AI platform.

This could tighten chip supply across the broader memory market from 2027.

SK Hynix Inc. aims to double its memory chip wafer capacity over the next five years, Bloomberg reported.

The company's move is a response to an endemic deficit of storage chips that could last till 2030, Chairman Chey Tae-won told reporters in Taipei.

SK Hynix is also increasing spending to address the demand-supply imbalance. But Chey Tae-won did not reveal how much capital the firm will set aside for that purpose.

The company's capital expenditure this year will rise significantly from 30.2 trillion won in 2025, executives stated previously.